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ELEN [110]
3 years ago
6

The Townson Manufacturing Company has gathered the following information for the month of September: 9,900 units in the beginnin

g Work-in-Process Inventory (75% complete as to materials, 1/3 complete with respect to the conversion costs). 99,000 units were started into production. 66,900 units were completed and transferred to the next department. The ending Work-in-Process Inventory is complete as to materials but only 3/8 complete with respect to conversion costs. What are the equivalent units of production (EUPs) for the conversion costs in the month of September assuming Townson uses weighted-average process costing?
Business
1 answer:
andrezito [222]3 years ago
7 0

Answer: 82,650 units

Explanation:

Equivalent Units of Production (EUPs) for the conversion costs = Units transferred out + Percentage of completed Ending Inventory

Ending Inventory = Beginning Work-In-Process + Units started into production - Units transferred out

= 9,900 + 99,000 - 66,900

= 42,000 units

Equivalent Units of Production (EUPs) for the conversion costs = 66,900 + (3/8 * 42,000)

= 82,650 units

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